Senior economic officials from the United States and Japan met in Washington D.C. on Sunday, October 7 in the inaugural session of the U.S.-Japan Sub-Cabinet Economic Dialogue.

The officials discussed the challenges facing the U.S. and Japan economies and the global economy following the September 11 terrorist attacks on the United States. They focused in particular on ways to promote economic recovery and growth in the two nations and worldwide.

The United States officials expressed their appreciation for the staunch support of the Government of Japan following the September 11 attacks. Japan has provided substantial financial, logistical and diplomatic help in the fight against terrorism. Both sides addressed concrete areas of further cooperation in the fight against terrorism, particularly in tracking terrorists? finances.

The United States delegation described the decisive steps taken by the Administration to address the challenges faced by the U.S. economy following the attacks. The Japanese delegation briefed the U.S. on Prime Minister Koizumi's reform plans and efforts to bring about fundamental structural changes in the Japanese economy. President Bush has expressed strong support for Prime Minister Koizumi's efforts to implement these important reforms. Successful implementation of these reforms is key to future economic recovery and growth in Japan.

The U.S. and Japanese officials also considered ways in which the two countries could better cooperate to pursue their common goals through multilateral and regional economic bodies, such as the World Trade Organization (WTO) and the Asian Pacific Economic Cooperation (APEC) forum. They talked about the importance of demonstrating leadership with respect to launching a new WTO round to revitalize global growth. They also reviewed plans for the up-coming APEC Leaders? Meeting in Shanghai.

The Economic Sub-Cabinet is a central component of the new bilateral Economic Partnership for Growth which President Bush and Prime Minister Koizumi established at their Camp David Summit in June 2001. The Sub-Cabinet is intended to help set the tone and direction of the overall economic relationship and deal with a full range of global, regional and bilateral economic and trade issues. The Partnership will address issues in both countries such as sound macroeconomic policies, structural and regulatory reform, financial and corporate restructuring, foreign direct investment, and open markets.

Deputy National Security Advisor Gary Edson and Deputy Minister for Foreign Affairs Shotaro Oshima co-chaired today's meeting, which included White House officials from the National Security Council; the National Economic Council; the Council of Economic Advisors; and the United States Trade Representative's Office, as well as Under Secretaries from the Departments of State, Treasury and Commerce. The Japanese delegation comprised senior officials from the Prime Minister's Cabinet Office, the Financial Services Agency and the Ministry of Foreign Affairs, as well as Vice Ministers from the Ministries of Finance; Economy, Trade and Industry; Land, Infrastructure and Transport; and Telecommunications.